BIG,Innovation Diffusion,Rogers Five factorsPresentation Transcript
INNOVATION DIFFUSIONRogers Five FactorsBy- Group 11Business Innovation & Growth
INTRODUCTION Categorization of innovators There is a smooth transition between the groups
The better understanding of the factors can result in o Better anticipate the likelihood to accept and innovation o Proactively develop a new product so as to increase the likelihood of adoption o Tailor one’s marketing strategy to leverage those factors on which innovation does well and overcome them
ROGERS’ FIVE FACTORS According to many technologists innovations sell themselves. The five factors given by rogers in 1960s, these largely governed the rate of diffusion Relative Advantage Compatibility Complexity Trialability Observability
RELATIVE ADVANTAGE The degree to which an innovation is perceived as better than the idea precedes(Rogers 1995). Mostly is viewed as an economic benefit of an innovation to thee alternative it seeks to replace. Regardless the economic benefit, as the relative advantage of the innovation increases, the rate of adoption should also increase.
COMPATIBILITY An innovation is perceived as consistent in existing values and experiences of the potential adopter(rogers 1955) This could be with the existent ideas, values and beliefs, or with one’s needs. In spite of exceptions, it is generally accepted that the compatibility of an innovation with existing concepts, habits, and experience increases, the rate adoption also increases
COMPLEXITY An innovation is perceived as relatively difficult to understand and use. According to the relationship between complexity and adoption, as the complexity of an innovation in creases, the rate of adoption decreases.
TRIALABILITY An innovation may be experimented with on a limited basis Also, as the trialability of an innovation increases, the rate of adoption increases.
OBSERVABILITY The results of the innovation are visible to others As a result the more visible or observable the usage and outcome of an innovation, the greater the rate of adoption
PRODUCT BASED AND PEOPLE BASEDAPPROACH TO UNDERSTANDINGDIFFUSION In reality, both the approached offer valuable tools for managing the diffusion of any innovation. By following Rogers’ five factors a manager can better understand and possible enhance the product itself.